We no longer count the fashions or influences that come straight from the United States, in all fields, especially economic and even social, or societal we should say. The latest is “The big quit”. So, real social phenomenon after the Covid-19 pandemic or ephemeral trend reserved for a few? Would talent flee a more or less stable activity and salary in their company to continue their career and evolution in an uncertain work environment? We provide you with some answers in this article dedicated to this evolution within French companies.
What is the "Big Quit"?
In the United States, an unexpected phenomenon has hit companies and the workplace since the Covid-19 virus has taken hold across the Atlantic and begun to grow. Its name: “The Great Resignation”, which is characterized by the large proportion of employees who leave their job either for another one considered less constraining, or by the desire and need to purely and simply leave their current position and look for a more fulfilling job on the labor market.
Indeed, waves of Covid and successive confinements have challenged the way of life of many Americans and Europeans. The magnitude of this phenomenon is estimated by some observers to be 20 million movements and resignations, since the spring of 2021. Sectors offering low wages and staggered working hours are suffering the greatest losses: transport, catering and the hotel industry are breaking records. Nearly 7% of employees in the restaurant industry gave up their jobs and quit in September.
“People have lived to work for a very long time. And I think the pandemic has brought this moment of reflection for everyone. “What do I want to do? What makes my heart sing?” “And people are thinking, ‘If not now, then when?'” Karin Kimbrough, an economist working for the professional network LinkedIn, recently told CBS News. This powerful network is one of the ways we can get a sense of the magnitude of this phenomenon, as LinkedIn’s data on job leavers is the most cross-sectional. It shows that millions of baby boomers are retiring earlier, but also that millions of “Generation Z” workers – young people in their 20s – are deciding to leave their companies and the workforce prematurely. “In total, this is the highest quit rate since the government began tracking it two decades ago. Nationally, more Americans are leaving work than ever before,” the economist notes.
And in Europe and in France?
While the phenomenon has already spread to China, it is different in Europe and in France, where the return to work has been significant since the pandemic was brought under control by massive vaccination and the use of telecommuting. However, in the third quarter of 2021, according to the Ministry of Labor, nearly 300,000 jobs remained unfilled in France. Companies are struggling to recruit, putting entire sectors of our economy at risk. Among the sectors that are finding it difficult to find takers, the home-based personal services sector is at the top of the list.
According to the
the unemployment rate has returned to its pre-crisis level of 8.1% and the employment rate is at its highest level (67.5%) in the last quarter of 2021. These encouraging figures should not mask the recruitment difficulties in certain sectors. In fact, Insee still reports that six out of ten companies are facing hiring difficulties in 2019 compared to one in four in 2015.
Self-employment, the big winner of this phenomenon
If in France, the virus of the big resignation does not seem to have totally taken, the dynamics seems however to change. A recent study reveals that 36% of Europeans would earn revenue from e-commerce, content creation or trading platforms. This is the reason why the young generation, the famous “generation Z” also called “the millenials”, are moving away from the world of salaried work in its most classic conception to create new hybrid forms of work.
And the big winner of this phenomenon seems to be the auto-entrepreneurship which has the wind in its sails. The French are increasingly looking for a better work-life balance, better working conditions, better pay and career prospects. The total number of business start-ups for the year 2021 is up to 995,868, up 17.4% from 2020, setting a new historical record, according to Insee. The number of structures created by self-employed entrepreneurs has increased by 17%, and that of companies by 24.3%, while the number of classic individual companies has only increased by 1.7%.
What about you?
As mentioned above, companies in the human services sector have difficulty recruiting employees. Why ? Because many competent employees are now aspiring or have already embarked on the adventure of entrepreneurship. With their professional skills in the various trades of this dynamic sector, they wanted to try the adventure. However, it is not always easy to start up alone in this field, which requires multiple business and management skills. While requiring a perfect organization since it is just as essential to carry out its services effectively. Faced with this situation, the Augias teams are there to support and advise you in the creation and development of your business! You should not forget that as an auto-entrepreneur, it is essential to master or be accompanied in many areas, in addition to your skills, to earn a sufficient salary. Make the biggest decision of your professional life with Augias!